HW-Chapter 5 Exercise 7-15 (Algo) Internal Rate of Return and Net Present Value (LO7-2, L07-3) 2.5 points eBook Print References Henrie's Drapery Service is investigating the purchase of a new machine for cleaning and blocking drapes. The machine would cost $102,990, including freight and installation. Henrie's estimated the new machine would increase the company's cash inflows, net of expenses, by $30,000 per year. The machine would have a five-year useful life and no salvage value. Click here to view Exhibit 7B-1 and Exhibit 7B-2, to determine the appropriate discount factor(s) using table. Required: 1. What is the machine's internal rate of return? Note: Round your answer to the nearest whole percentage, Le. 0.123 should be considered as 12%. 2. Using a discount rate of 14%, what is the machine's net present value? Interpret your results. 3. Suppose the new machine would increase the company's annual cash inflows, net of expenses, by only $25,790 per year. Under these conditions, what is 'the internal rate of return? Note: Round your answer to the nearest whole percentage, l.e. 0.123 should be considered as 12% 1. Internal rate of retum 2. Net present value 3. Internal rate of retum, % Check my work